Home buying can be a stressful time. Jennifer Moody Steyer understands that, and is in the business of helping Fort Collins home buyers find the best home for their needs. Here are four things you need to know about the Fort Collins real estate market in order to jump in with both feet.
Inventory Is Scarce (But Growing)
The Fort Collins real estate market has been dealing with low inventory for quite a while. On average, homes that hit the market stay on the market for a little over a month, but a large chunk of that time is under contract.
Home Values Are Still Rising
As of October 2022, home prices in Fort Collins were up 12.9% compared to the same time last year, for a median price of just under $538,000. And since there’s still strong buyer demand and a lack of homes hitting the market, home values will continue to remain high. Seasonal trends tend to push home values down a small percentage during the winter months, but overall prices are staying up.
Mortgage Interest Rates Are Higher
In 2022, the average rate for a 15-year fixed-rate mortgage shot up. The rates on 30-year fixed-rate mortgages climbed even higher in that same time period. These rate can fluctuate quite a bit depending on the person and the current market, take a look at our mortgage calculator tool to see an estimate on your future home.
Risky Buying Options Are Out There
One of the trends that have been on the rise nationally are the ‘rent-to-own’ and ‘lease-to-own’ agreements. In these situations, you agree to rent the home for a period of time before becoming the owner. While on the surface this can be appealing because you get to “buy” a home without a down payment, the downsides far outweigh the pros — you may have to handle repairs and maintenance yourself, even while renting, and if something happens to break your contract, you may not get those extra payments back.
If you’re thinking of buying a home, it’s important to be aware of the current market conditions. Working with a knowledgeable real estate agent like JMS Real Estate can help you navigate the challenges and find the right home for you. Give us a call today!
Trust Us For Your Next Home!